Vodafone has been blamed for shipping Mariposa botnet malware and other nasties on a HTC Magic Android smartphones it supplied.
The mobile phone giant’s Spanish arm supplied an HTC Magic smartphone preloaded with malware that attempted to establish a backdoor for stealing information on connected PCs during the synchronisation process. Vodafone acknowledged the problem but said that the incident was an isolated and local problem, which came to light because the customer affected works for Spanish anti-virus firm Panda Security.
The extra code was a strain of the Mariposa bot client that attempted to connect to systems not associated with the recent arrests of three suspected botmasters in Spain, according to an analysis of the attack by Panda Security researcher Pedro Bustamante.
“A quick analysis of the malware reveals that it is in fact a Mariposa bot client,” Bustamante explained. “This one, unlike the one announced last week which was run by Spanish hacker group ‘DDP Team’, is run by some guy named ‘tnls’ as the botnet-control mechanism shows.
“Once infected you can see the malware ‘phoning home’ to receive further instructions, probably to steal all of the user’s credentials and send them to the malware writer,” he added.
The same mobile phone was also infected by Confiker and a Lineage password-stealing code, according to Panda. The incident came to light because the infected phone was sold to one of Bustamante’s colleagues in Spain.
In a statement, Vodafone said the problem, which it is investigating, was isolated.
Vodafone takes the security and privacy of its customers extremely seriously and launched an immediate investigation into this incident
Following extensive Quality Assurance testing on HTC Magic handsets in several of our operating companies, early indications are that this was an isolated local incident
Vodafone keeps its security processes under constant review as new threats arise, and we will take all appropriate actions to safeguard our customers’ privacy.
Incidents where computing devices come preloaded with malware are far from unprecedented. Normally problems arise when computers used in manufacturing production lines are themselves infected.
Credit: The Register
Computer scientists at Rutgers University this week are demonstrating ways that rootkits can attack new generations of smart mobile phones. The researchers, who are presenting their findings at a mobile computing workshop in Maryland, are showing how a rootkit could cause a smartphone to eavesdrop on a meeting, track its owner’s travels, or rapidly drain its battery to render the phone useless — all without the user’s knowledge.
“Smartphones are essentially becoming regular computers,” says Vinod Ganapathy, assistant professor of computer science in Rutgers’ School of Arts and Sciences. “They run the same class of operating systems as desktop and laptop computers, so they are just as vulnerable to attack by [malware].”
Ganapathy and computer science professor Liviu Iftode worked with three students to study the use of rootkits in smartphone operating systems. They note that while many PCs carry virtual machine monitors to help detect rootkits, most smartphones cannot support a VM monitor.
Rootkit attacks on smartphones — or upcoming tablet computers — could be more devastating because smartphone owners tend to carry their phones with them all of the time, the researchers say. This creates opportunities for potential attackers to eavesdrop, extract personal information from phone directories, or just pinpoint a user’s whereabouts by querying the phone’s GPS receiver. Smartphones also have new ways for malware to enter the system, such as through a Bluetooth radio channel or via text message.
“What we’re doing today is raising a warning flag,” Iftode says. “We’re showing that people with general computer proficiency can create rootkit malware for smartphones. The next step is to work on defenses.”
In one test, the researchers showed how a rootkit could turn on a phone’s microphone without the owner knowing it happened. In such a case, an attacker would send an invisible text message to the infected phone, telling it to place a call and turn on the microphone, such as when the phone’s owner is in a meeting and the attacker wants to eavesdrop.
In another test, they demonstrated a rootkit that responds to a text query for the phone’s location as furnished by its GPS receiver. This would enable an attacker to track the owner’s whereabouts.
In a third test, the researchers showed a rootkit turning on power-hungry capabilities — such as the Bluetooth radio and GPS receiver — to quickly drain the battery.
The researchers are careful to note they did not assess the vulnerability of specific types of smartphones. They did their work on a phone used primarily by software developers versus commercial phone users. Working within a legitimate software development environment, they deliberately inserted rootkit malware into the phone to study its potential effects.
The research was supported by the National Science Foundation and the U.S. Army.
Credit: DarkReading.com
Veracode today released Blackberry-specific spyware, which the code-review specialist intends as a “call for defensive research” to show that the BlackBerry is vulnerable to spyware problems.
“The Blackberry ‘sandbox’ keeps you from getting into the operating system level. It’s effective for that,” says Tyler Shields, senior researcher at Veracode Research Lab and author of the Blackberry spyware. “BlackBerry is one of the better operating systems in regards to security,” he says, “but in the sandbox you can steal data.”
Shields says the point in releasing the spyware source code, which he calls TXSBBspy, is to “show how easy it is to write this code.” He calls the source code a blueprint for malware on the BlackBerry, showing how it’s possible to remotely dump all the contents, send the contents via e-mail, and conduct real-time monitoring of phone messages.
Shields says his purpose is to inspire a “call to action” to encourage development of BlackBerry applications to make it clear what these apps do before releasing them.
Credit: IT News
Cryptographers have broken the proprietary encryption used to prevent eavesdropping on more than 800 million cordless phones worldwide, demonstrating once again the risks of relying on obscure technologies to remain secure.
The attack is the first to crack the cipher at the heart of the DECT, or Digital Enhanced Cordless Telecommunications, standard, which encrypts radio signals as they travel between cordless phones in homes and businesses and corresponding base stations. A previous hack, by contrast, merely exploited weaknesses in the way the algorithm was implemented.
The fatal flaw in the DECT Standard Cipher is its insufficient amount of “pre-ciphering,” which is the encryption equivalent of shaking a cup of dice to make sure they generate unpredictable results. Because the algorithm discards only the first 40 or 80 bits during the encryption process, it’s possible to deduce the secret key after collecting and analyzing enough of the protected conversation.
“This standard, as with everything else we have broken, has been designed some 20 years ago, and it is proprietary encryption,” said Karsten Nohl, one of the cryptographers who helped devise the attack. “It relied on the fact that the encryption was unknown and hence could not be broken. This is a case where something that has some potential for being strong is broken by just this one design decision that in any public review would have been spotted immediately.”
Nohl, 28, is the same University of Virginia microscope-wielding reverse engineer to crack the encryption in the world’s most widely used smartcard. In December, he struck again after devising a practical attack for eavesdropping on cellphone calls.
He and fellow researchers Erik Tews of the Darmstadt University of Technology and Ralf-Philipp Weinmann of the University of Luxembourg, plan to present their findings Monday at the 2010 Fast Software Encryption workshop in Korea.
Like several of Nohl’s previous hacks, it began with nitric acid and an electron microscope. After dissolving away the epoxy on the silicon chip and then shaving down and magnifying the section dedicated to the DECT encryption, he was able to glean key insights into the underlying algorithm. He then compared the findings against details selectively laid out in a patent and exposed during a debug process.
The results of all three probe methods revealed the fatally insufficient amount of pre-ciphering in the DECT Standard Cipher.
In practical terms, the attack works by collecting bits of the encrypted data stream with known unencrypted contents. In cordless phones, this often comes from a device’s control channel, which broadcasts a variety of predictable data, including call duration and button responses. Sniffing an encrypted conversation with a USRP antenna and the average PC, an attacker would need to collect about four hours of data to break the key in typical scenarios.
In others - such as where DECT is used in restaurants and bars to wirelessly zap payment card details - the time needed to crack the key could be dramatically shorter, Nohl said. The time can also be sped up in a variety of other ways, including by adding certain types of graphics cards to beef up the power of the attacking PC. In some cases, the attack can retrieve the secret key in 10 minutes.
“We expect that some smarter cryptographers than ourselves will find better attacks, of course. We found the algorithm and then implemented the first attack. It’s almost guaranteed that this is not the best attack.”
The DECT Forum, the international body that oversees the standard, said it takes the attack scenarios laid out in the paper seriously and “continues to investigate their applicability.”
The crack of DECT is only the latest time Nohl has defeated the proprietary encryption of a device with critical mass. His 2008 attack on the Mifare Classic smartcard used similar techniques of filing down a silicon chip and then tracing the connections between transistors. His proposed attack of GSM encryption affects cellphones used by more than 800 carriers in 219 countries.
Credit: The Register
Apple’s iPhone is vulnerable to exploits that allow an attacker to spoof web pages even when they’re protected by the SSL, or secure sockets layer, protocol, a security researcher said.
The fault lies in a feature that makes it easy to configure large numbers of iPhones so they meet an organization’s IT policies, said Charlie Miller, a researcher at Independent Security Evaluators. Not only does the provisioning feature work over the internet, it can be tricked into accepting malicious configuration files.
“If the user accepts, the attacker can make changes to the phone’s configuration which can cause harm,” Miller explained.
The revelation comes after the hack was discussed in an anonymous blog post over the weekend. It explained how it was possible to sign an XML-based configuration file using a SSL certificate registered to a fictitious company called Apple Computer. Because the iPhone checks only that the certificate was signed by a trusted CA, or certificate authority, the author’s rogue update.mobilconfig file was accepted and executed.
The author claimed the hack could be used to change an iPhone’s proxy settings, a change that would allow attackers to do much more nefarious deeds such as funnel traffic to servers under their control. Miller said he wasn’t sure such an attack was possible, but he didn’t rule it out, either.
“It definitely allows them to change the trusted certs which means that you can’t trust SSL anymore,” Miller wrote. “I don’t have the cert the guy generated to really confirm things on my own. I’m very confident that it can do a lot though.”
In addition to changing trusted certificates, Miller said, a rogue configuration file could be used to disable Safari or other iPhone apps or block access to particular websites that can be accessed.
For an exploit to work, an attacker would have to apply a fair amount of social engineering. First, a user would have to be tricked into clicking on an email attachment or visiting a website hosting the configuration file. The user would then be presented with a window saying the update has been “verified” and would have to click OK to install it.
The most serious consequence Miller could confirm was the ability to spoof SSL-protected pages, but given the difficulty of the attack, he wasn’t sure how useful that would be.
“If you can get someone to install this thing AND go to your phishing site, the guy probably would have fallen for it without SSL,” he said.
Credit: The Register
After taking a long hiatus, trojan dialers that can rack up thousands of dollars in charges are back by popular demand.
According to researchers at CA Security’s malware analysis lab, a new wave of malicious dialers is hitting users of mobile phones. The trojans are built on the Java 2 Micro Edition programming language and cause infected handsets to send SMS messages to high-cost numbers, at great expense to the victim.
“As soon as the application is loaded, this malicious software starts to send premium text messages,” CA warned on Tuesday. “The messages sent out are in the typical format to invoke premium services and land the mobile user with heavy mobile bills without the user’s knowledge and consent.”
Malware that automatically dials pricey premium numbers was all the rage a decade ago, when dial-up internet services required computers to connect to a phone line. With the growth of broadband connections the frequency of dialers waned.
When malware application, which is a JAD file, is loaded on the mobile device, a typical user interface screen is displayed:
The JAD application however is packaged with a data file (load.bin) that has a list of high-cost destination numbers. The malicious application uses this bin file to form the text messages with the desired premium destination. As soon as the application is loaded, this malicious software starts to send premium text messages.
The explosion of smart phone that can run software made by anyone has given malicious dialers a new lease on life. And as was the case in the days of yore, they mostly tap into porn services.
Credit: The Register, CA Security
A phisher hoping to harvest bank login details managed to smuggle his app onto the Android app store. The Android Market, launched in October 2008, offers more than 20,000 mobile applications for download.
Malicious apps posted by Droid09 were quickly identified, prompting a warning to legitimate users and a ban for the VXer. The incident raises questions about whether a tighter vetting process is needed for the Android Marketplace.
The rogue Android application posed as a legitimate banking applet, but was actually designed to trick marks into handing over bank login details to fraudsters, an alert by credit union First Tech warns. The credit union, which said it wasn’t targeted by the attack, doesn’t even have an app for Android as yet.
Android fans who downloaded any of Droid09’s apps are advised to purge them from their phones before consulting their mobile phone firm for further advice.
The incident happened in December, but became public after news outlets picked up on First Tech Credit Union’s fraud alert on Monday.
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The unveiling of a GSM (Global System for Mobile Communications) encryption codebook compiled by a German security researcher and his team of collaborators lowers the bar significantly for the amount of money and technical expertise required to listen in on a GSM-based mobile phone call. More importantly, it illustrates just how old the current GSM encryption is and demonstrates why it’s time for an upgrade.
Law enforcement officials and well-financed cyber criminals have been able to crack GSM encryption for sometime, but the investment was so high that it didn’t pose much of a threat. This new method lowers the price of entry to the point that it is more of an issue, but still not a high risk.
Karsten Nohl announced that he and his team have compiled 2 terabytes worth of GSM encryption data. PC World’s Robert McMillan explains that the results are like “cracking tables that can be used as a kind of reverse phone-book to determine the encryption key used to secure a GSM (Global System for Mobile communications) telephone conversation or text message.”
GSM is the most widely-used mobile phone technology in the world–accounting for over 80 percent of the world’s 4.3 billion mobile phones. The encryption algorithm that protects GSM-based calls from being intercepted and eavesdropped is more than twenty years old, though.
Time is the enemy of encryption. When a new encryption algorithm is developed and claimed to be impenetrable, or that cracking it is so impractical as to not be plausible, those claims are based on current technology. As technology improves, the mainstream consumer computers of tomorrow eventually have the processing capacity of yesterday’s mainframes and suddenly the processing power required to crack the encryption becomes trivial.
As an analogy, think of encryption like a jigsaw puzzle where you have to find one specific puzzle piece. If the puzzle only has 25 pieces, it won’t take you too long to accomplish. That is like a weak encryption algorithm. However, if the puzzle has 10,000 pieces it will take significantly longer.
As time goes on, though, you gather more people to join in the process and develop new strategies to sift through the pieces faster and compress the time required to look through the 10,000 pieces. That is similar to the way difficult encryption algorithms eventually become simple to crack.
There is also always the possibility of a lucky guess. The encryption cracking estimates are based on the amount of time it would take to work through every possible combination and permutation of characters to determine the encryption key. But, you could theoretically find the right key on the eighth try rather than the ten thousandth.
The fact that the A5/1 algorithm used to encrypt GSM handsets is more than two decades old and still chugging along is a testament to the strength the algorithm had at its inception. The mobile phone industry should consider itself lucky that this is only now becoming an issue.
For now, the methods revealed at the Chaos Communication Conference in Berlin still require a fairly hefty investment in technology likely to discourage any casual GSM hacking. But, the mobile phone industry as a whole needs to address the weakness of the geriatric A5/1 encryption algorithm before breaking it becomes so trivial that the encryption is completely useless.
Credit: PCworld
A Swiss iPhone developer has released a new application that is capable of harvesting huge amounts of personal data from iPhones, including geolocation data, passwords, address book entries and email account information, all using just the public API.
The application, called SpyPhone, uses the public iPhone API that Apple made available for application developers, and does not need any exploits or hardware attacks in order to access the iPhone’s data. Instead, SpyPhone relies on using the iPhone’s usability and depth of features to its advantage. Once an application is on an iPhone, it has unfettered access to much of the data and settings on the device, a circumstance that SpyPhone’s developer, Nicolas Seriot, exploited.
Seriot has posted the source code for SpyPhone online and gave a talk about SpyPhone’s capabilities at a security conference this week. All of SpyPhone’s operations are conducted in the background, without the knowledge of the iPhone’s user, and the application can be set to email reports on each infected phone back to the attacker.
Once on the iPhone, the application begins looking at the stored data that’s available in various other programs, such as the email address book and the keyboard cache, which keeps a record of every keystroke the user enters in a non-password field, Seriot said. This data normally is used for the iPhone’s autocomplete feature, but can be a gold mine of information for an attacker searching for intelligence on the iPhone’s owner.
By default, the iPhone will tag any photos taken with the device with the date and location of the picture. The user can turn this feature off, but if it’s enabled, SpyPhone can access that data, as well as the log of which WiFi hotspots the device has connected to. All of this gives the attacker a better picture of the iPhone’s owner, his location and his interests, which is valuable data.
Apple has taken pains to keep strict control over what applications can run on the iPhone, but malicious apps have been found in the company’s AppStore in the past. And while Apple has to approve all of the programs in the AppStore, users who have jailbroken iPhones can run any app they choose on their devices. That leaves plenty of opportunity for seemingly innocuous apps that contain malicious components.
Credit: Threatpost.com
The second worm to infect jailbroken iPhone users reportedly targets customers of Dutch online bank ING Direct. Surfers visiting the site with infected devices are redirected to a phishing site designed to harvest online banking login details, the BBC reports. ING Direct told the BBC it planned to warn users’ of the attack via its website, as well as briefing front line call centre staff on the threat.
Mikko Hypponen, chief research officer at F-Secure, said the threat had in any case been neutralised. “It [the worm] was targeting ING. The websites it needed for this to work have now been taken down.”
Anti-virus analysts, still in the process of analysing the malware, caution that the attack is a bit more complex than simple phishing and seems to involve an attempt to snatch SMS messages associated with online banking transactions. We’re yet to hear back from ING Direct on this point but we’ll update this story as and when we hear more.
What is clear is that the “Duh” or Ikee-B worm, like the earlier Rickrolling worm, exploits an SSH backdoor on jailbroken handsets in order to spread.
Part of the process of jailbreaking iPhones to allow unofficial software to be installed can involve installing SSH (secure shell) remote access. Users who go through this step but fail to change the default root password of iPhones from alpine leave a backdoor that wide open to attack.
Although Duh exploits the same SSH backdoor as the original Ikee worm, the latest malware is far more dangerous than its predecessor. Doh turns compromised devices into a botnet under the control of unidentified hackers. The Rickrolling ikee worm, by contrast, only changes users’ wallpaper to an image of cheesy pop warbler Rick Astley.
Duh also searches across a wider range of IP ranges than Ikee, which only ever affected Optus users in Australia. It includes IP ranges allocated to carriers in several countries, including The Netherlands, Portugal, Australia, Austria, and Hungary. All the infections reported thus far have happened in The Netherlands. The attack only came to light after a Dutch ISP noticed unusual traffic and began to investigate.
As previously reported, compromised phones are left under the control of a botnet server in Lithuania. Duh changes the root password of compromised iPhones, allowing crooks to log into compromised units and carry out malicious further actions.
SophosLabs researcher Paul Ducklin used a password cracking tool to discover the malware changes iPhone root passwords from ‘alpine to ‘ohshit’.
In addition to the two iPhone worms, an earlier hacking/extortion attack (targeting iPhone users in the Netherlands) also exploited the default password SSH backdoor on jailbroken iPhones.
Security experts strongly advise users of jailbroken phones to change their passwords from ‘alpine’ immediately to avoid further attacks along the same lines.
Credit: The Register